Competitive and Market Analysis

Question 1

What are the two fundamental approaches to market sizing?

Answer 1

Bottom up and top down.

Question 2

What is the problem with top down market sizing approach?

Answer 2

You have to make assumptions regarding market penetration. F.ex. 10 % of X will purchase the product. Therefore it’s not the most respected way.

Question 3

What is the bottom up approach to market sizing?

Answer 3

Assess sales volume for similar apps. If there are no obvious apps to compare with, you can find a similar app. (You look at current trends to be close to reality).

Question 4

What are some smart tips for sizing market?

Answer 4

• Use a website such as alexa.com or semrush.com and assess website traffic for the site of your competitor.
• Google “market size for x report” or “industry report for x”.
• Google adwords tool (shows related searches on Google and can indicate how much interest there is).

Question 5

What are the 4 types of competitors?

Answer 5

Direct, indirect, potential and subsitute

Question 6

What are the 5 things you need to keep track of in regards to competitors?

Answer 6

1) What is their product core? Can they outproduce you? Can the execute better than you? Should this be your differentiator?
2) What is the size of your user base? Easier to get press. Easier to strike deals.
3) Design. Ability or inability to design nice products?
4) Brand. How strong is the brand?
5) Speed. How quickly can they add features?

Question 7

What’s a page to keep track of competitors funding?

Answer 7

crunchbase.com

Question 8

What are things you want to monitor for competitors?

Answer 8

Funding, acqusitions,

Question 9

What’s a good tool for tracking competitor news?

Answer 9

web.mention.com and google alerts (not as powerful)